**A message from Univision: Isn’t it confusing when politics doesn’t take place in your preferred language? That’s how 12 million Latino voters feel. They’ll have a voice in 2012. Will they hear yours? Visit www.univision.net/hispanic-vote to connect with America’s fastest growing electorate. It’s the New American Reality. **

Good Tuesday morning from L.A., where Playbook is spending the day after a scenic drive yesterday through Gold-Rush country on California 49, the “Mother Lode Highway,” including the town of Rough and Ready:

--“GOP looks to bury Obama on coal,” by Bob King and Erica Martinson: “Republicans hope Mitt Romney can squeeze an electoral diamond out of coal country in the battleground states of Ohio, Virginia and Pennsylvania. The GOP has stoked the fires by accusing Obama’s EPA of making it more difficult to mine or burn coal. Republicans made hay when a ‘clean coal’ section quietly turned up on the president’s campaign website.”

--“Few states set for health exchanges,” by J. Lester Feder and Jason Millman: “Many insurance experts and health policy consultants predict only a dozen or so states will be ready to run exchanges on their own [when health insurance exchanges open in 2014] -- and a few say that projection may be too sunny. Only a handful of the most militant states are likely to continue all-out resistance to federal health reform if the law is upheld — which ironically would mean the federal government would run their exchanges.”

THE ONE QUOTE THAT MATTERS TODAY – President Obama, at NATO presser in Chicago, when asked about Newark Mayor Cory Booker’s criticism of administration attacks on Romney’s private-equity background: “[T]his is not a distraction. This is what this campaign is going to be about: is, what is a strategy for us to move this country forward in a way where everybody can succeed?”

THE STORY THAT MATTERS MOST TODAY – ABC’s Gary Langer, “Prosperity Shortfall Puts Obama at Risk; But Romney’s Not Yet Seized the Day”: “Americans are nearly twice as likely to say they’ve gotten worse off as better off under Barack Obama’s presidency, a prosperity shortfall resembling the one that cost the first President Bush his job in 1992. But Mitt Romney has yet to seize the opportunity fully, with weaknesses on personal as well as professional qualities that are keeping the 2012 race a close one. Only 16 percent of Americans in the latest ABC News/Washington Post poll say their financial situation has improved since Obama took office, while 30 percent say they’re worse off..” http://abcn.ws/JCs2Mp

BREAKING – “Start Up 2.0 Act” launches at 10:30 a.m. – POLITICO op-ed by Sens. Jerry Moran, Mark Warner, Marco Rubio and Chris Coons: “We are introducing bipartisan legislation, Startup Act 2.0 on Tuesday — to help jump-start the economy through the creation and growth of new businesses. We want to prove the critics wrong: Congress can get something done in an election year when we work together to strengthen the economy and create jobs.” http://politi.co/JkRaXo

--PLAYBOOK SNEAK PEEK: “Startup Act 2.0 creates new opportunities for America-educated, entrepreneurial immigrants to remain in the U.S. where their talent and ideas can fuel growth and create American jobs. The bill also alleviates regulatory burdens that make it more difficult for businesses to expand and create jobs. Finally, Startup Act 2.0 makes changes to the tax code to encourage investment in startup companies. TTL cost: approx. $6.9B/10 years.”

BEHIND THE CURTAIN – “Subtler Entry From Masters of Attack Ads,” by N.Y. Times’ Jeremy W. Peters, A1 of National Edition (swaps in New York Edition for “Taxi Agency May Increase Fares by 20%) : “The ad is the work of two of the most fearsome players in Republican politics: Larry McCarthy, the producer behind the infamous Willie Horton commercial in 1988, and Crossroads GPS, the political battle squad founded by Karl Rove. When it makes its debut Wednesday in 10 swing states as the centerpiece of a $25 million campaign, it is expected to become one of the most heavily broadcast political commercials of this phase of the general election. … As Crossroads strategists would learn after 18 different focus groups and field tests, … the harshest anti-Obama jabs backfire with many Americans. Middle-of-the-road voters who said they thought the country was on the wrong track were unmoved when they heard arguments that the president lacks integrity. And they did not buy assertions that he is a rabid partisan with a radical liberal agenda that is wrecking America. …

“In interviews with voters, Crossroads strategists picked up on some common sentiments that they concluded could provide a clear rationale for voters to deny Mr. Obama a second term. Some said they felt that the president was an eloquent communicator, but that his actions had failed to live up to his words. They said they thought the country’s budget problems had gotten out of hand, yet the government kept spending recklessly … And they reported being worried that their children would not have the same opportunities to get ahead as they had. All these thoughts made their way into Mr. McCarthy’s script. But one exchange in particular, at a focus group in St. Louis in October, gave Mr. McCarthy and [Crossroads President Steve] Law the idea for the ad, which they named, innocuously enough, ‘Basketball.’

“A woman described how her 32-year-old son, burdened by student loans and unable to make ends meet, had moved back home. ‘That particular group had several women who basically told the same story,’ Mr. McCarthy said. The script, which he started writing that day in October, features a composite character from the focus groups. … The ad opens with a woman talking about her family’s financial woes. ‘I always loved watching the kids play basketball,’ the actress says … Her face quickly morphs into an old woman’s. Her skin is wrinkled, her hair gray. She explains how her adult children have moved back into the house because they are unable to find jobs. ‘I supported President Obama because he spoke so beautifully … He promised change. But things changed for the worse.’” http://nyti.ms/JyWqld

DRIVING THE DAY – “Revived focus on regulation after JPMorgan loss,” by AP’s Marcy Gordon: “The Senate Banking Committee is holding a [10 a.m.] hearing at which two key regulators will be asked about the trading loss at JPMorgan, the only major U.S. bank to stay profitable during the crisis. … The Banking Committee chairman, Sen. Tim Johnson, D-S.D., has said he is inviting [CEO Jamie] Dimon to testify … at a related hearing in the near future.”

THE JUICE: TRACKING THE EBB AND FLOW OF POWER -- “EXCLUSIVE - U.S. envoy to Afghanistan to step down shortly,” by Reuters’ Missy Ryan in Chicago: “Veteran U.S. diplomat Ryan Crocker is expected to step down soon from his post as President Obama's envoy to Afghanistan … The Obama administration is considering Deputy Ambassador James Cunningham to replace Crocker when he leaves the post as early as this month … Crocker … came out of retirement to become ambassador in Kabul in July 2011 … News of Crocker's departure comes only weeks after Cameron Munter, the U.S. ambassador in Islamabad, informed his staff he would be leaving his post in coming months. …

“Secretary of State Hillary Clinton's top diplomat for the Middle East, Jeffrey Feltman, will soon leave for a top post at the United Nations. Crocker earned respect in his earlier role as U.S. ambassador to Iraq from 2007-2009 … He has also served as ambassador to Pakistan, Syria, Kuwait and Lebanon. … Crocker retired from the government in April 2009, becoming dean of the Bush School of Government and Public Service at Texas A&M University. Cunningham, who would need to be nominated and confirmed by the Senate if he were to become the permanent U.S. envoy, was ambassador to Israel before he came to Kabul last year.”

--PLAYBOOK FACTS OF LIFE: Big news – Crocker is a great American. Another sign that the attempt to transform Afghanistan is OVER.

AP DAY AHEAD: “JOPLIN TORNADO-ANNIVERSARY — Sunrise service starts at 8:30 a.m.; groundbreaking ceremonies start at 11:30 a.m.; a march through the path of the storm and a moment of silence starts at 6:41 p.m. … EDWARDS TRIAL — The jury at the trial of former presidential candidate John Edwards is set to deliberate his fate for a third day starting at 9 a.m. ”

POSTCARD FROM ADAM KOVACEVICH, a college friend of Tom Cotton's, in Dardanelle, Ark.: "The pride of Dardanelle (and former Sand Lizard hoopster), Tom Cotton is on the ballot today in the 4th congressional district Republican primary (Rep. Mike Ross is retiring). This district is about the same size as West Virginia and Tom has put 40,000 miles on his car stumping around the district. The latest public polling had Cotton up by 18 points over his closest opponent, 2010 nominee Beth Anne Rankin. Cotton, an Iraq and Afghanistan vet and ex-Harvard lawyer, has picked up endorsements from ex-Rep. Jay Dickey, the Arkansas Democrat Gazette, Club for Growth and Tea Party Express. Election night party is 7pm CT @ the Austin Hotel in Hot Springs."

TOP CLICK -- The Washington Times posts “more than two dozen videos, hundreds of pictures and other documents” from the GSA’s infamous Las Vegas conference obtained through FOIA. (hat tip: Kevin Robillard, @PoliticoKevin) http://bit.ly/JBAR90

HAPPENING TODAY: The Atlantic’s Technologies in Education Forum on policies and technologies that can improve student achievement. Participants -- including Joel Klein, Tom Kalil and Mike Gallagher -- explore how to bring new technologies to students, how video games are changing the way we teach and prepare the future American workforce to compete. 8 a.m. to 2 p.m., The Gallup Building. Link to agenda and registrationhttp://bit.ly/KIibV9

DEMS WAIT BY PHONE FOR OBAMA – Manu Raju: “He doesn’t call. He doesn’t write. He doesn’t drop by for a visit. That’s what some of the most senior Democrats in Congress are experiencing from President Obama these days. Senate Budget Committee Chairman Kent Conrad is trying to cut a deal on the nation’s fiscal crisis, but he can’t recall the last time he talked to the president. Sen. Tom Harkin is in charge of one of Obama’s top priorities — preventing a rate increase on student loans — but he hasn’t talked to the president in months. And Sen. Jeff Bingaman is the go-to guy on high gas prices, but the chairman of the Energy Committee hasn’t spoken to the president much since the previous Congress. …

“The lack of communication not only … speaks to the president’s personal style — he’s never been much of a schmoozing, back-slapping type in the spirit of Bill Clinton or Lyndon B. Johnson. … Congress is punting on virtually every major issue until after the election. So even some of those GOP deal makers whom Obama may need to court — whether Sens. Olympia Snowe or Lindsey Graham — aren’t getting as much presidential attention as in the past. ‘I don’t think governing is a high priority right now,’ said Graham, who said he hasn’t spoken to the president ‘in forever’ after speaking with him frequently in the first couple years …

“Jamie Smith, a White House spokeswoman, said the president and his administration ‘have regular and repeated interactions with members of Congress from both parties in the House and Senate’ … But both policy meetings and social gatherings with committee chairmen, ranking members, back bench freshmen and GOP swing voters — all hallmarks of the early part of Obama’s term — have been few and far between with the president these days, lawmakers say. … ‘He’s busy,’ said Sen. Joe Lieberman, chairman of the Homeland Security and Governmental Affairs Committee, saying the two last spoke in February.” http://bit.ly/Kvy1yT

THE MONEY, HONEY:

--WSJ A4, “Romney PAC Fundraiser's Fee: $3 Million,” by Brody Mullins and Mark Maremont: “A company associated with Steven C. Roche, a former Romney aide, has received about $3 million in fundraising fees … From the start of 2011 until the end of April, Mr. Roche helped to raise about $55.8 million from a relatively small group of the likely Republican presidential candidate's supporters for the political action committee, Restore Our Future. … The $3 million … amounts to about 5.4% of the money raised, … a higher share than almost every other major super PAC operating in the 2012 presidential campaign. … The two largest outside political groups operating during the 2010 election—sister groups American Crossroads and Crossroads GPS—spent about 1% of the $71 million they raised in 2010 on fundraising costs. ... Since the start of the 2012 campaign, Restore Our Future has spent $48.3 million.”

--U.S. CHAMBER TO SPEND MORE THAN $50 MILLION ON 2012 RACES – Financial Times’ Anna Fifield: “Tom Donohue, president of the chamber, [told reporters] recent reports that the chamber would spend $50m … were too low. ‘Some people would say that’s a round number [used] in the past. I would say this is a more important election.’”

MEDIAWATCH:

L.A. TIMES “receives $1-million grant from Ford Foundation … will expand coverage of … immigration and ethnic communities in Southern California,” by LAT’s James Rainey: “[The Times will add five reporters, including one in Brazil.] … A Ford Foundation spokesman said that, as media organizations face challenges funding reporting through advertising and traditional revenue streams, ‘we and many other funders are experimenting with new approaches to preserve and advance high-quality journalism.’ The Times plans to use the two-year grant to hire journalists who will focus on the Vietnamese, Korean and other immigrant communities, the California prison system, the border region and Brazil. … The hire in Brazil represents the return of a Times correspondent to South America, where a network of stringers has provided the bulk of coverage in the last several years.” http://lat.ms/KFWkJW

--L.A. Times Editor Davan Maharaj, in a memo to the newsroom: “The grant comes with no strings attached. … The grant is part of a new initiative by the Ford Foundation to increase coverage of issues involving inequality, injustice and disparity.” http://lat.ms/K6HwH8

** A message from Univision: Over 12 million Latinos will vote in 2012. The question isn’t whether they’ll have a voice. The question is whether they’ll hear yours. Visit www.univision.net/hispanic-vote to learn how to reach the 10.9 million Latinos who watch our news programs. It’s the New American Reality. **

****** A message from UnitedHealth Group: What does it take to create a modern, high-performing, simpler health care system? Expanding access to care through proven state-based coverage and employer-sponsored insurance. Making health care more affordable with consumer-directed care and value-based payments. Supporting and modernizing Medicare to meet the complex health challenges of America’s seniors. And reinvesting in health to support research and innovation. Learn more about these ideas at http://www.unitedhealthgroup.com ******

Authors:

About The Author

Mike Allen is the chief White House correspondent for POLITICO. He comes to us from Time magazine where he was their White House correspondent. Prior to that, Allen spent six years at The Washington Post, where he covered President Bush's first term, Capitol Hill, campaign finance, and the Bush, Gore and Bradley campaigns of 2000. Before turning to national politics, he covered schools and local governments in rural counties outside Fredericksburg, Va., for The Free Lance-Star, then wrote about Doug Wilder, Oliver North, Chuck Robb and the Bobbitts for the Richmond Times-Dispatch, where he nurtured police sources on overnight ride-alongs through housing projects. Allen also covered Mayor Giuliani, the Connecticut statehouse and the wacky rich of Greenwich for The New York Times. Before moving to The Times, he did stints in the Richmond and Alexandria bureaus of The Washington Post. Allen grew up in Orange County, Calif., and has a B.A. from Washington and Lee University, where he majored in politics and journalism.